AI Automated Digital Marketing Strategy for Start-up Companies

This project investigates the impact of AI-driven digital marketing strategies on start-up companies, focusing on achieving a manageable and sustainable competitive advantage. The research explores the evolution of digital marketing, the role of AI, and its benefits for SMEs. The project examines the integration of AI in digital marketing, aiming to enhance efficiency and resource utilization. It analyzes various aspects, including the application of AI technologies, the potential for cost reduction, and the impact on business performance. The research methodology includes both quantitative and qualitative analysis, incorporating literature reviews, research questions, and data analysis to provide comprehensive insights. The study explores how AI can help companies maximize performance while ensuring low operational costs. The project also identifies the potential impacts of not adopting appropriate technologies, offering recommendations for future development and strategies. The findings highlight the importance of AI in modern digital business, particularly for SMEs seeking to gain a competitive edge. This project is a valuable resource for students studying digital marketing, AI, and business strategy, providing detailed insights into the practical application of AI in achieving business objectives.

Running head: AI IN STARTUP DIGITAL COMPANIES
Why would an AI Automated Digital Marketing Strategy achieve a manageable sustainable
competitive advantage for start-up digital companies?
Name of the Student
Name of the University

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Abstract
The fundamental errand of AI begun by the separating the data and update their aptitudes
starting from the broke data. There is a huge utilization of Machine learning in the automated
stage as the system of the referenced advancement is begun by the viewing the customer data in
order to give better essential initiative approach to manage the machine. The key objective of this
application is to solidify robotized learning of any system in order to improve the organizations
of that referenced structure. As demonstrated by the examinations it has been seen that there are
four essential arrangements of AI which joins the regulated figuring of AI, unsupervised AI,
bolster AI similarly as the semi oversaw AI count. As AI rapidly turns out to be increasingly
refined and broadly embraced in advertising, the capacity for advertisers to viably execute and
oversee it will end up being an always significant ability. In like manner, people's comprehension
of their job in making and dispersing an incentive in an Artificial intelligence controlled working
environment is critical to the accomplishment of their vocation, the organizations they work for,
and the purchasers with whom they associate. It accordingly stands that AI may before long hint
clearing change to the idea of promoting itself.

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Table of Contents
Chapter 1: Introduction....................................................................................................................3
1.1 Background.......................................................................................................................3
1.2 Rationale...........................................................................................................................4
1.3 Problem Statement.................................................................................................................7
1.4 Aim, Objectives and Research Questions..............................................................................7
1.5 Research Structure.................................................................................................................8
Chapter 2: Literature Review.........................................................................................................11
2.1 Introduction..........................................................................................................................11
2.2 History of Artificial Intelligence.........................................................................................11
2.3 Concept of Artificial Intelligence........................................................................................13
2.4 Impact of Artificial intelligence in Small Medium Enterprise (SME):...............................16
2.5 Benefits of Artificial Intelligence in the Small Medium Enterprise:...................................18
2.6 Limitations of Artificial Intelligence in SME:.....................................................................19
Chapter 3: Research Methodology................................................................................................24
3.1 Introduction..........................................................................................................................24
3.2 Research philosophy............................................................................................................24
3.3 Research Approach..............................................................................................................26
3.4 Research Design..................................................................................................................27
3.5 Data Collection Method.......................................................................................................28

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3.6 Sample Size.........................................................................................................................30
3.7 Data Analysis Method.........................................................................................................30
3.8 Ethical Consideration...........................................................................................................32
3.9 Timeline...............................................................................................................................33
3.10 Summary............................................................................................................................34
Chapter 4: Data Findings and Analysis.........................................................................................36
4.1 Quantitative data analysis....................................................................................................36
4.2 Qualitative Analysis.............................................................................................................50
Chapter 5: Conclusion and Recommendations..........................................................................55
References......................................................................................................................................58

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Chapter 1: Introduction
1.1 Background
There have been several changes in digital automated technologies in recent years. The
digital marketing companies have been renovating themselves with new technologies and
strategies for maximizing their competitive advantage in the market. In such scenario, artificial
intelligence have been playing an important role in maximizing competitive advantages of digital
companies in the market. The main aim of the business organization has been achieving success
in the market. There have been huge possibilities of small businesses in the digital platform.
Therefore, the competition in the digital market has been increased (Pavesi 2018). An efficient
use of information system might help in gaining competitive advantages in the market. The
workflow system of the organization need to be maintain properly in order to provide proper
advantages in the market. Various Small and medium enterprises have been trying to enter into
the competitive advantage in the market. SMEs have been looking constant and steady
integration of new digital technology in daily business operations. Artificial intelligence has been
helping in providing specific advantages by enhancing efficiency and utilizing proper resources
of the organization. This has been helping in maintaining a keen approach in the development of
the companies in the market. The use of artificial intelligence has been helping in increasing
efficiency and performance of digital business in the market. The competition in the market has
been increasing in the market (Ford et al. 2016). Therefore, small businesses and enterprises
have been facing issues in competition in the market. There is a need of up gradation in their
technology. Therefore, artificial intelligence has been helping in maintaining a keen approach in
upgrading their technology.

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Artificial intelligence (AI) can be elaborated in several perspective that depends on interest
and expertise of people. The primary definition has been provided as a situation in which
machines have been able to think, react and execute tasks similar to human being. As research
done by Formichi (2017), machine intelligence has been surpassing performance of
philosophical humans and predicted as years for coming technologies in the market. These
statements have been justified by increase in trend level of development in existing technology
as inventing new technologies. This research has focused on strategies developed by the start-up
companies and SMEs for achieving sustainable and manageable competitive advantage in the
market. This research has critically analyzed how artificial intelligence have helped SMEs and
start-ups in achieving competitive advantages in the market.
1.2 Rationale
Artificial intelligence has been playing an important role in the determination of new
technologies that can be automated itself. These technologies have been helping in providing a
variety of benefits to the business organization. Artificial reasoning (AI) is a classification of
advancements and field of concentrate that has been around for a considerable length of time yet
has as of late been doable to execute. Regardless of its relative early stages in the market,
utilizations of AI as of now gloat amazing adequacy crosswise over enterprises, especially in
promoting (Wagner 2018). Late progressions in AI innovation and developing quantities of
utilization cases exhibiting its adequacy have gathered energy among advertisers. This fervor has
not completely converted into a general comprehension of how the innovation functions, its
down to earth usage, and the long haul ramifications it conveys. The "computer based
intelligence Marketing Era," as it might properly be named, involves central changes to the way
in which advertisers collaborate with clients, the strategies, and apparatuses they use to

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accomplish their objectives, the abilities they respect very in the working environment, and the
idea of their everyday obligations. In 2013, a group of artificial intelligence experts have
conducted a survey for reporting use of artificial intelligence in the year of 2040 to 2050 (Huber
and Coady 2017). It has been analysed that there might be use of 50% of artificial intelligence
technology in the organizations for providing their performance in the market. The use of
artificial intelligence has been helping SMEs in digital business field to gain competitive
advantages. The value of artificial intelligence has been expected to reach $1.2 trillion in 2028
which will be an increase of 70% from 2018 (Pettinato 2016). The global business of AI has
been forecasted to reach $3.9 billion in 2022. Likened to the greatness of progress delivered by
the appearance of PCs, man-made consciousness conveys the possibility to change the idea of
advertising definitely. It is hence that the point of man-made brainpower in promoting requires
inside and out research and research to get ready for changes to come.
Figure 2: Investment in AI startups
(Source: Duggal, Aul and Chawla 2016)

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Artificial intelligence has been helping in maintaining keen approach in the development
of the business in the market. Artificial intelligence has been helping in providing proper
methods for gaining advances in competition in the market. AI has been seen as catalyst in
investing financial assets by various organizations. The use of the AI technology has been
changing the scenario of the market in various purposes. The use of the AI has been helping in
providing a keen approach in developing different dimensions of the organization in the market.
Various business giants including Apple, Microsoft, Google and Intel have been already using
artificial intelligence in their business operations (Omary 2018). However, various small and
medium enterprise (SMEs) have been looking for implementing AI in their business operations.
These brands have been ruing the market with their services and brand value. Therefore, the
competitive advantage gain by companies have been helping them in enhancing loyalty and
brand value in the market. There have been various application of the artificial intelligence in the
market including face detection, self-driving cars, industrial robots and automated CRM systems.
This applications have been helping in maintaining a keen approach in the growth of the
companies in the market. The use of artificial intelligence have been maintaining a keen
approach in the market. The business perspective of the artificial intelligence has been growing
in recent years. The implication of artificial intelligence has been increasing in recent years.
According to survey in 2017, there have been increase by 18% in implementation o artificial
intelligence by SMEs in the market (Qojayev 2015). SMEs have been understanding the
importance of artificial intelligence in the digital business.
1.3 Problem Statement
The change in technology has been affecting operation of the business enterprises in
digital business. There have been sharp shift of hardware based technology to cloud based

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solutions in the organizations. This sharp change in the business operation has been successful of
the internet. This has been enhanced by the concept of AI and the internet. The big companies
have been utilizing artificial intelligence in the market and gaining competitive advantage in the
market (Zhang and Chen 2016). Therefore, the main problem has been faced by the SMEs in
digital businesses they are it able to utilize artificial intelligence and gain competitive advantage
in the market. Therefore, this research has been done in how AI digital strategy can help SMEs
in digital business to gain competitive advantages in the market.
1.4 Aim, Objectives and Research Questions
The aim of the research has been focused on how artificial intelligence digital strategy
would help SMEs in digital business to gain competitive advantage in the market.
As a way of strategizing the research study and coming up with a more dependable and reliable
research findings, the research questions are formulated into specific attainable and measurable
objectives as follows:
 To understand the extent to which digital companies can achieve sustainable and
manageable competitive advantage in the market through the integration of automated
artificial intelligence marketing strategy.
 To examine and establish ways in which start-up digital companies can maximize
performance while ensuring low operational costs.
 To establish the potential impacts of not adopting the most appropriate and optimistic
technologies in the performance of start-up digital SMEs.
Following are the research questions:

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 In what ways can start-up digital companies achieve sustainable and manageable
competitive advantage in the market through the integration of an automated artificial
intelligence marketing strategy?
 In what ways can start-up digital companies maximize performance while ensuring low
operational costs?
 Are there potential impacts of not adopting the most appropriate and optimistic
technology in the performance of start-up digital SMEs?
1.5 Research Structure
This research include five chapters including introduction, literature review, research
methodology, data findings and analysis and conclusion and recommendation. The first chapter
has been focused on providing basic knowledge about artificial intelligence in SMEs in digital
business. The aim of the research including objectives and research questions have been initiated
in the research.
The second chapter discusses about the literature review of the research topic. There have
been various existing theories and literatures on artificial intelligence have been reviewed in this
section. The concept of artificial intelligence and its impact in SMEs digital marketing
businesses.
The third chapter focuses on the research methodology of the study. The chapter consists
of various subsections including research philosophy, approach, design, data collection, data
analysis and ethical consideration. This chapter helps in providing outline of the study. Data
collection and analysis method has been proposed in this chapter.

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Figure 2: Research Structure
(Source: Created by author)
The fourth chapter deals with the data collection and analysis. Data has been collected
from both primary and secondary method. Data analysis has been done using mixed data analysis
method including both quantitative and qualitative method.
The last section is about concluding all the outcomes and results of the study. There have
been recommendations provided in the section that helps in conducting future work on the
research topic.
Chapter 1: Introduction
Chapter 2: Literature Review
Chapter 3: Research Methodology
Chapter 4: Data Findings and Analysis
Chapter 5: Conclusion and Recomendations

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Chapter 2: Literature Review
2.1 Introduction
The fundamental objective of this section is to elaborate the concept of Artificial
Intelligence. Followed by this objective in this study it also consist a detail explanation of the
modern history of Artificial Intelligence on the Small Business Enterprise. Along with that it also
consist a discussion about the benefits and limitations of the utilization of Artificial Intelligence
as well as a brief discussion about the impact of Artificial Intelligence in SME and its digital
marketing.
2.2 History of Artificial Intelligence
The concept of Artificial Intelligence has been invented by John MacCarthy in the year
1956 at an academic conference which has been held on the Dartmouth College campus.
Followed by the mentioned year in the year 1960 an article has been released named as
“Computer and Thought”. However, the above events happed in small platform the first
international conference was held in Washington DC in the year 1969. Followed by the years in
the year 1970 first robot was invented which has been developed with the inbuilt feature of eye
technology (Ghasemi et al., 2014). Along with the above invention in the same year INTERNIST
program has been conducted which has provided a brief knowledge about the diagnoses of the
information which are being accepted by it. Followed by the years it has been observed that the
application of neural science as well as the Artificial Intelligence has significantly expanded
(Karaboga et al., 2014). In order to describe the application and range of the utilization Artificial
Intelligence Marvin Minsky has published a book named “The Society of Mind” in the year
1980. During the time interval of 1980 to 1990 significant growth has been noticed in the field of